NewJersey Resources Corporation (NJR)
Number of days of payables
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Payables turnover | 0.11 | 0.11 | 0.11 | 0.46 | 0.08 | |
| Number of days of payables | days | 3,396.18 | 3,255.00 | 3,398.85 | 793.44 | 4,455.06 |
September 30, 2024 calculation
Number of days of payables = 365 ÷ Payables turnover
= 365 ÷ 0.11
= 3,396.18
NewJersey Resources Corporation's number of days of payables has fluctuated over the past five years, ranging from 793.44 days in 2021 to 4,455.06 days in 2020. In 2020, the company took significantly longer to pay its suppliers compared to the other years. This could indicate potential issues with liquidity or cash flow management during that period.
The number of days of payables decreased to 793.44 days in 2021, suggesting an improvement in the company's ability to manage its payables efficiently. However, in 2022 and 2024, the number of days of payables increased again, reaching 3,398.85 days and 3,396.18 days respectively.
Overall, a high number of days of payables may indicate that the company is taking longer to pay its suppliers, which could be a strategy to preserve cash or manage working capital. It is essential for investors and stakeholders to monitor this ratio over time to understand the company's payment practices and financial health.
Peer comparison
Sep 30, 2024